Tencent, a Chinese multinational investment holding conglomerate has bet big numbers on Indian tech startups. Founded in 1998, Tencent is now the world’s sixth-largest internet company by revenue. All accredited to the slowing pace of the Chinese economy, the Indian- online startups have been at an advantage as this shift has encouraged the Chinese investors to turn to the Indian economy for increased profits and desired results.
History of Tencent’s investment in India
Tencent started investing in India in 2014 when it drove a discreet Series B funding round in Ola. From 2014 to February 2018, it has put resources into seven organizations, including Flipkart, Byju’s and Hike Messenger. In August 2015, the enterprise made its first investment into Indian start-ups, when it drove a $90 million round in Practo Technologies Pvt. Ltd. (digital health platform). Following that, in October 2017, the firm again poured its investments in two of India’s most profitable businesses, Flipkart and Ola of $1.1 billion and $700 million respectively.
These investments seem to be paying off well for Tencent, as it just made five recent investments in the Indian tech market, Gaana, the native music streaming app, being the most prominent endeavor with about a funding of US $115 Million.
Tencent, eyeing on India’s largest internet-based startups
With a demonstrated stagnation in their homeland, Shenzen based Tencent is now looking to expand its bets in Indian tech-based companies. In addition to the investment of US$ 35 million in a Bangalore- based digital banking company NiYo, Tencent is also in talks with MX Player (in video streaming service), ShareChat (regional content platform), Policybazaar (Online insurance platform), and payments app PhonePe while continuing its investment in Gaana.
This comes as a no-brainer for Indian tech startups to step up their game and grab the opportunity while they can. As per Bloomberg reports, this growth graph is on the downside for Chinese Technology startups, hence a perfect window for the budding businesses in India to grab the slot.